May 2016 State Release

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For Immediate Release: June 17, 2016

For More Information, Contact: Kim Genardo/919.814.4610

North Carolinas May Employment Figures Released


RALEIGH The states seasonally adjusted May unemployment rate was 5.1 percent, decreasing
0.3 of a percentage point from Aprils revised rate. The national rate declined 0.3 of a percentage point
to 4.7 percent.
North Carolinas May 2016 unemployment rate was 0.7 of a percentage point lower than a year ago.
The number of people employed increased 6,870 over the month to 4,618,342 and increased 142,023
over the year. The number of people unemployed decreased 13,589 over the month to 250,544, and
decreased 25,278 over the year.
Seasonally adjusted Total Nonfarm industry employment, as gathered through the monthly
establishment survey, decreased 1,600 to 4,307,700 in May. The major industries with the largest overthe-month increases were Manufacturing at 2,700, followed by Education & Health Services, 2,600;
Government, 2,200; Other Services, 800; Information, 400; Mining & Logging, 200; and Trade,
Transportation & Utilities, 100. Major industries experiencing decreases were Professional & Business
Services, 3,500; Construction, 2,700; Financial Activities, 2,500; and Leisure & Hospitality Services,
1,900.
Seasonally Adjusted Unemployment Rates since May 2015
May Jun
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May

2015 2015 2015 2015 2015 2015 2015 2015 2016 2016 2016 2016 2016
N.C.
5.8
5.8
5.7
5.7
5.7
5.6
5.6
5.6
5.6
5.5
5.5
5.4
5.1
U.S.
5.5
5.3
5.3
5.1
5.1
5.0
5.0
5.0
4.9
4.9
5.0
5.0
4.7
Please note: 2015 numbers have been annually revised

Since May 2015, Total Nonfarm jobs gained 78,100 with the Total Private sector growing by 75,700
and Government increasing by 2,400. The largest over-the-year increase among major industries was
Trade, Transportation & Utilities at 23,700, followed by Professional & Business Services, 23,200;
Leisure & Hospitality Services, 12,900; Education & Health Services, 7,300; Construction, 6,400;
Other Services, 5,100; Government, 2,400; and Mining & Logging, 100. Major industries
experiencing decreases were Manufacturing, 2,000; Information, 700; and Financial Activities, 300.
The next unemployment update is scheduled for Wednesday, June 29, 2016 when the county
unemployment rates for May 2016 will be released.
This information may be accessed on the Commerce website at http://www.nccommerce.com/lead

North Carolina data is embargoed until 10:00 A.M. Friday, June 17, 2016

May 2016

April 2016

Month Ago
Numeric
Percent
Change
Change

May 2015

Year Ago
Numeric
Percent
Change
Change

North Carolina
(Local Area Unemployment Statistics)
Smoothed Seasonally Adjusted
Labor Force

4,868,886

4,875,605

4,752,141

-6,719

-0.1

116,745

2.5

Employed

4,618,342

4,611,472

4,476,319

6,870

0.1

142,023

3.2

250,544

264,133

275,822

-13,589

-5.1

-25,278

-9.2

5.1

5.4

5.8

-0.3

xxx

-0.7

xxx

Labor Force

4,856,521

4,855,686

4,827,901

835

< 0.1

28,620

0.6

Employed

4,626,542

4,613,321

4,537,917

13,221

0.3

88,625

2.0

229,979

242,365

289,984

-12,386

-5.1

-60,005

-20.7

4.7

5.0

6.0

-0.3

xxx

-1.3

xxx

Labor Force

158,466,000

158,924,000

157,367,000

-458,000

-0.3

xxx

xxx

Employed

151,030,000

151,004,000

148,748,000

26,000

< 0.1

xxx

xxx

7,436,000

7,920,000

8,619,000

-484,000

-6.1

xxx

xxx

4.7

5.0

5.5

-0.3

xxx

xxx

xxx

Labor Force

158,800,000

158,488,000

157,719,000

312,000

0.2

xxx

xxx

Employed

151,594,000

151,075,000

149,349,000

519,000

0.3

xxx

xxx

7,207,000

7,413,000

8,370,000

-206,000

-2.8

xxx

xxx

4.5

4.7

5.3

-0.2

xxx

xxx

xxx

Unemployed
Unemployment Rate
Not Seasonally Adjusted

Unemployed
Unemployment Rate
United States
(Current Population Survey)
Seasonally Adjusted

Unemployed
Unemployment Rate
Not Seasonally Adjusted

Unemployed
Unemployment Rate

*Effective January 2016, updated US population estimates are used in the national labor force estimates,
The annual population adjustments affect the comparability of national labor force estimates over time.
2016 estimates for the current month are preliminary. Estimates for the previous month have undergone monthly revision.
2015 estimates have undergone annual revision.

North Carolina data is embargoed until 10:00 A.M., Friday, June 17, 2016

Month Ago
May 2016

April 2016

Numeric
Change

May 2015

Year Ago

Percent
Change

Numeric
Change

Percent
Change

North Carolina
(Current Employment Statistics)
Seasonally Adjusted
Total Nonfarm

4,307,700

4,309,300

4,229,600

-1,600

> -0.1

78,100

1.8

Total Private

3,584,800

3,588,600

3,509,100

-3,800

-0.1

75,700

2.2

5,600

5,400

5,500

200

3.7

100

1.8

Construction

195,000

197,700

188,600

-2,700

-1.4

6,400

3.4

Manufacturing

458,300

455,600

460,300

2,700

0.6

-2,000

-0.4

Trade, Transportation & Utilities

817,900

817,800

794,200

100

<0.1

23,700

3.0

75,800

75,400

76,500

400

0.5

-700

-0.9

Financial Activities

217,700

220,200

218,000

-2,500

-1.1

-300

-0.1

Professional & Business Services

608,600

612,100

585,400

-3,500

-0.6

23,200

4.0

Education & Health Services

580,400

577,800

573,100

2,600

0.4

7,300

1.3

Leisure & Hospitality Services

469,500

471,400

456,600

-1,900

-0.4

12,900

2.8

Other Services

156,000

155,200

150,900

800

0.5

5,100

3.4

Government

722,900

720,700

720,500

2,200

0.3

2,400

0.3

Total Nonfarm

4,340,200

4,322,900

4,266,800

17,300

0.4

73,400

1.7

Total Private

3,594,000

3,577,600

3,526,000

16,400

0.5

68,000

1.9

5,600

5,400

5,500

200

3.7

100

1.8

Construction

195,700

196,200

190,100

-500

-0.3

5,600

2.9

Manufacturing

456,100

454,300

459,900

1,800

0.4

-3,800

-0.8

Trade, Transportation & Utilities

816,900

812,900

793,300

4,000

0.5

23,600

3.0

75,200

74,700

76,200

500

0.7

-1,000

-1.3

Financial Activities

217,200

218,600

218,400

-1,400

-0.6

-1,200

-0.5

Professional & Business Services

608,300

612,100

586,100

-3,800

-0.6

22,200

3.8

Education & Health Services

581,600

580,900

575,100

700

0.1

6,500

1.1

Leisure & Hospitality Services

481,300

467,100

469,300

14,200

3.0

12,000

2.6

Other Services

156,100

155,400

152,100

700

0.5

4,000

2.6

Government

746,200

745,300

740,800

900

0.1

5,400

0.7

Mining & Logging

Information

North Carolina
(Current Employment Statistics)
Not Seasonally Adjusted

Mining & Logging

Information

Mfg. Production Workers (PW) Not Seasonally Adjusted


Mfg. PW Average Hourly Earnings
Mfg. PW Hours Worked

$17.60

$17.46

$17.00

41.9

42.4

42.5

All 2016 Labor Force and CES data for the current month are preliminary.
All 2015 Labor Force and CES estimates have been benchmarked.
Estimates may not add to totals due to rounding.

Technical Notes
This release presents labor force and unemployment estimates from the Local Area Unemployment
Statistics (LAUS) program. Also presented are nonfarm payroll employment estimates the Current
Employment Statistics (CES) program. The LAUS and CES programs are both federal-state
cooperative endeavors.
Labor force and unemployment--from the LAUS program
Definitions. The labor force and unemployment estimates are based on the same concepts and
definitions as those used for the official national estimates obtained from the Current Population
Survey (CPS), a sample survey of households that is conducted for the Bureau of Labor Statistics
(BLS) by the U.S. Census Bureau. The LAUS program measures employment and unemployment on
a place-of-residence basis. The universe for each is the civilian noninstitutional population 16 years
of age and over. Employed persons are those who did any work at all for pay or profit in
the reference week (the week including the 12th of the month) or worked 15 hours or more without
pay in a family business or farm, plus those not working who had a job from which they were
temporarily absent, whether or not paid, for such reasons as bad weather, labor-management dispute,
illness, or vacation. Unemployed persons are those who were not employed during the reference
week (based on the definition above), had actively looked for a job sometime in the 4-week period
ending with the reference week, and were currently available for work; persons on lay-off expecting
recall need not be looking for work to be counted as unemployed. The labor force is the sum of
employed and unemployed persons. The unemployment rate is the number of unemployed as a
percent of the labor force.
Method of estimation. Statewide estimates are produced using an estimation algorithm
administered by the BLS. This method, which underwent substantial enhancement at the beginning
of 2005, utilizes data from several sources, including the CPS, the CES, and state unemployment
insurance (UI) programs. Each month, census division estimates are controlled to national totals, and
state estimates are then controlled to their respective division totals. Substate estimates are controlled
to their respective state totals. For more information about LAUS estimation procedures, see the BLS
website at www.bls.gov/lau/laumthd.htm
Revisions. Labor force and unemployment data for the previous month reflect adjustments
made in each subsequent month, while data for prior years reflect adjustments made at the end of
each year. The monthly revisions incorporate updated model inputs, while the annually revised
estimates reflect updated population data from the U.S. Census Bureau, any revisions in the other
data sources, and model reestimation. In most years, historical data for the most recent five years
(both seasonally adjusted and not seasonally adjusted) are revised near the beginning of each
calendar year, prior to the release of January estimates.
Seasonal adjustment. The LAUS program introduced smoothed seasonally adjusted
(SSA) estimates in January 2010. These are seasonally-adjusted data that have incorporated a longrun trend smoothing procedure, resulting in estimates that are less volatile than those previously
produced. The estimates are smoothed using a filtering procedure, based on moving averages, to
remove the irregular fluctuations from the seasonally-adjusted series, leaving the trend. The same
process is used on both historical and current year estimates. For more information about the
smoothing technique, see the BLS website at www.bls.gov/lau/lassaqa.htm.

Area definitions. The substate area data published in this release reflect the standards and
definitions established by the U.S. Office of Management and Budget on February 28, 2013. A
detailed list of the geographic definitions is available online at www.bls.gov/lau/lausmsa.htm.
Employment--from the CES program
Definitions. Employment data refer to persons on establishment payrolls who receive pay for
any part of the pay period that includes the 12th of the month. Persons are counted at their place of
work rather than at their place of residence; those appearing on more than one payroll are counted on
each payroll. Industries are classified on the basis of their principal activity in accordance with the
2012 version of the North American Industry Classification System.
Method of estimation. CES State and Area employment data are produced using several
estimation procedures. Where possible these data are produced using a "weighted link relative"
estimation technique in which a ratio of current-month weighted employment to that of the previousmonth weighted employment is computed from a sample of establishments reporting for both
months. The estimates of employment for the current month are then obtained by multiplying these
ratios by the previous months employment estimates. The weighted link relative technique is
utilized for data series where the sample size meets certain statistical criteria.
For some employment series, relatively small sample sizes limit the reliability of the weighted linkrelative estimates. In these cases, BLS uses the CES small domain model (SDM) to generate
employment estimates. The SDM combines the direct sample estimates (described above) and
forecasts of historical (benchmarked) data to decrease the volatility of the estimates. For more
detailed information about the CES small domain model, refer to the BLS Handbook of Methods.
Annual revisions. Employment estimates are adjusted annually to a complete count of jobs,
called benchmarks, derived principally from tax reports that are submitted by employers who are
covered under state unemployment insurance (UI) laws. The benchmark information is used to adjust
the monthly estimates between the new benchmark and the preceding one and also to establish the
level of employment for the new benchmark month. Thus, the benchmarking process establishes the
level of employment, and the sample is used to measure the month-to-month changes in the level for
the subsequent months.
Seasonal adjustment. Payroll employment data are seasonally adjusted at the statewide
supersector level. In some states, the seasonally adjusted payroll employment total is computed by
aggregating the independently adjusted supersector series. In other states, the seasonally adjusted
payroll employment total is independently adjusted. Revisions of historical data for the most recent 5
years are made once a year, coincident with annual benchmark adjustments.
Reliability of the estimates
The estimates presented in this release are based on sample surveys, administrative data, and
modeling and, thus, are subject to sampling and other types of errors. Sampling error is a measure of
sampling variability--that is, variation that occurs by chance because a sample rather than the entire
population is surveyed. Survey data also are subject to nonsampling errors, such as those which can
be introduced into the data collection and processing operations. Estimates not directly derived from
sample surveys are subject to additional errors resulting from the specific estimation processes used.

Model-based error measures for seasonally adjusted and not seasonally adjusted data and for overthe-month and over-the-year changes to LAUS estimates are available online at
www.bls.gov/lau/lastderr.htm. Measures of sampling error for state CES data at the total nonfarm
and supersector levels are available online at www.bls.gov/sae/790stderr.htm.

Release Dates
The next unemployment update is scheduled for Wednesday, June 29, 2016 when the county
unemployment rates for May 2016 will be released.
The complete 2016 data release schedule can be accessed at:
http://www.nccommerce.com/lead/researchpublications/scheduleofreleasedates

May
2016

North Carolina
Labor Market Conditions

The North Carolina smoothed seasonally adjusted


unemployment rate was 5.1 percent in May, decreasing 0.3
of a percentage point from the previous month and falling 0.7
of a percentage point from May 2015. Over the month, the
number of persons unemployed fell by 13,589 (5.1%). The
civilian labor force declined by 6,719 (0.1%) to 4,868,886.

United States/North Carolina Unemployment Rates


May 2015May 2016
(Smoothed Seasonally Adjusted**)

7.0
6.0

Percent

5.0 5.5

5.8

5.8
5.3

5.3

5.7

5.7
5.1

5.7
5.1

5.6
5.0

5.6
5.0

5.6
5.0

4.0

5.6
4.9

5.5
4.9

5.5
5.0

5.0

5.4
4.7

5.1

3.0
2.0
1.0
0.0

May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. March April May
2015 2015 2015 2015 2015 2015 2015 2015 2016 2016 2016 2016 2016

United States

North Carolina

**US data are not smoothed.

North Carolina Total Nonfarm Employment


May 2015May 2016
(Seasonally Adjusted)

4,350

In Thousands

4,300

4,250

4,200

4,150

4,100
May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. March April May
2015 2015 2015 2015 2015 2015 2015 2015 2016 2016 2016 2016 2016

(Seasonally Adjusted)

Of the major industries for which payroll data are seasonally


adjusted, Manufacturing (2,700; 0.6%) had the largest
over-the-month gain in jobs, followed by Education & Health
Services (2,600; 0.4%), Government (2,200; 0.3%), Other
Services (800; 0.5%), Information (400; 0.5%), Mining &
Logging (200; 3.7%), and Trade, Transportation & Utilities
(100; <0.1%). Professional & Business Services (3,500;
0.6%) reported the largest over-the-month decrease,
followed by Construction (2,700; 1.4%), Financial Activities
(2,500; 1.1%), and Leisure & Hospitality (1,900; 0.4%).
Since May 2015, Trade, Transportation & Utilities added
the largest number of jobs (23,700; 3.0%), followed by
Professional & Business Services (23,200; 4.0%), Leisure
& Hospitality Services (12,900; 2.8%), Education & Health
Services (7,300; 1.3%), Construction (6,400; 3.4%), Other
Services (5,100; 3.4%), Government (2,400; 0.3%), and
Mining & Logging (100; 1.8%). Manufacturing (2,000; 0.4%)
reported the largest over-the-year decrease, followed by
Information (700; 0.9%), and Financial Activities (300; 0.1%).

+23.7

800

+2.4

700

+23.2

600

In Thousands

Seasonally adjusted Total Nonfarm industry employment


(4,307,700) decreased 1,600 (>-0.1%) since April 2016, and
increased 78,100 (1.8%) since May 2015.1 Private sector
employment fell over the month by 3,800 (0.1%), while
growing by 75,700 (2.2%) over the year.

1
It is important to note that industry employment estimates are subject to large
seasonal patterns. Seasonal adjustment factors are applied to the data. However, these
factors may not be fully capturing the seasonal trend. Therefore, when interpreting the
changes in industry employment, it is advisable to focus on over-the-year changes in
both the seasonally adjusted and not seasonally adjusted series.

Changes in Employment by NAICS Industries


May 2015 Compared to May 2016
900

Nationally, Mays unemployment rate was 4.7 percent. The


number of persons unemployed was 7,436,000, while the
civilian labor force was 158,466,000.

+7.3

-2.0

500

+12.9

400
300
200

-0.3

+6.4

+5.1

-0.7

100
Construction

Manufacturing

Trade,
Transportation
& Utilities

Information

Financial
Activities
May-15

Professional
& Business
Services

Education &
Health
Services

Leisure &
Hospitality
Services

Other Services

Government

May-16

*N.C. current month data are preliminary, while all other 2016 data are revised and 2015 data have undergone annual revision. U.S. data have undergone annual revision.

Labor & Economic Analysis | North Carolina Department of Commerce | 1 of 2

North Carolina Labor Market Conditions

Over the year, the Service Providing sector (all


industries except Mining & Logging, Construction, and
Manufacturing) showed an increase of 71,500 (2.0%)
jobs. Trade, Transportation & Utilities experienced the
largest employment increase at 23,600; 3.0%), followed by
Professional & Business Services (22,200; 3.8%), Leisure
& Hospitality Services (12,000; 2.6%), Education & Health
Services (6,500; 1.1%), Government (5,400; 0.7%) and
Other Services (4,000; 2.6%). Financial Activities (1,200;
0.6%) had the largest over-the-year decrease, followed by
Information (1,000; 1.3%).

Selected Manufacturing Industries With Job Gains


May 2015May 2016
(Not Seasonally Adjusted)

2.0

1.4
In Thousands

The May 2016 not seasonally adjusted Total Nonfarm


employment level of 4,340,200 was 17,300 (0.4%)
more than the April 2016 revised employment level of
4,322,900. Among the major industries in North Carolina,
Leisure & Hospitality Services had the largest over-themonth increase in employment at 14,200 (3.0%), followed
by Trade, Transportation & Utilities (4,000; 0.5%),
Manfacturing (1,800; 0.4%), Government (900; 0.1%),
Education & Health Services (700; 0.1%), Other Services
(700; 0.5%), Information (500; 0.7%), and Mining & Logging
(200; 3.7%). Professional & Business Services (3,800;
0.6%) reported the only over-the-month decrease, followed
by Financial Activities (1,400; 0.6%), and Construction
(500; 0.3%).

1.3

1.0

0.8

0.7
0.4
0.1

0.0

Transportation
Food
Equipment Manufacturing

Furniture &
Related
Product

Wood
Product

Plastics &
Rubber

Computer &
Electronic
Product

Selected Service Industries With Job Gains


May 2015May 2016
(Not Seasonally Adjusted)

20.0

15.7

Amongst manufacturing industries, Transportation


Equipment had the largest net over-the-year increase at
1,400. Other manufacturing industries with gains were:
Food, 1,300; Furniture & Related Product, 800; Wood
Product, 700; Plastics & Rubber Products, 400; Computer
& Electronic Product, 100; and Machinery, 100.
Chemical & Fabricated Metal Product had the largest
net over-the-year decrease at 700 in May 2016. Other
industries with decreases were: Beverage & Tobacco
Product, 600; Apparel, 400; Textile Mills, 300; Printing
& Related Support, 200; Textile Product Mills, 200; and
Electrical Equipment, Appliance, & Component, 100.
Over the month, Average Weekly Hours for total private
workers in May increased 12 minutes from Aprils revised
rate of 34.3. Average Hourly Earnings grew by $0.27 to
$23.52, as Average Weekly Earnings rose by $13.96 to
$811.44.
Over the year, Average Weekly Hours for total private
workers in May remained unchanged from 34.5 in May
2015. Average Hourly Earnings grew by $1.42 and Average
Weekly Earnings increased $48.99.

10.5
10.0

9.3

9.2
4.8

5.0

0.0

Retail Trade Admin & Waste Professional,


Mgmt.
Scientic &
Tech.

Accom. &
Food Services

Local
Government

4.0

Wholesale
Trade

Total Private Average Weekly Wage


May 2012May 2016
(Not Seasonally Adjusted)

825

800

In Dollars

The Goods Producing sector grew by 1,900 (0.3%) jobs


over the year. Construction had the largest employment
increase with 5,600 (3.0%), followed by Mining & Logging
(100; 1.8%). Manufacturing (3,800; 0.8%) reported the only
decrease.

In Thousands

15.0

775

750

725

700
May Sept. Jan. May Sept. Jan. May Sept. Jan. May Sept. Jan. May
2012 2012 2013 2013 2013 2014 2014 2014 2015 2015 2015 2016 2016

Labor & Economic Analysis | North Carolina Department of Commerce | 2 of 2

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